A company manufactures three products using the same production process. The costs incurred up to the split-off point are $200,000. These costs are allocated to the products on the basis of their sales value at the split-off point. The number of units produced, the selling prices per unit of the three products at the split-off point and after further processing, and the additional processing costs are as follow: Number of Selling Price Selling Price Additional Product Units Produced at Split-off after Processing Processing Costs 6,000 $10.00 $15.00 $14,000 Y 10,000 11.60 16.20 21,000 Z 4,000 19.40 21.60 12,000 Required: 14. Compute the total net operating income if all products are sold at split-off 15. Compute the total increase in net operating income if all products are processed further